Objectives and tasks of the State's credit management
Objectives
As a permanent debtor, the State of Hesse is regularly active on the capital market. The credit department decides on the timing and instrument of borrowing (fixed or variable-rate state treasury bond, green bond, private placement or promissory note loan). The aim of borrowing is to ensure solvency at all times and to finance the tasks of the State of Hesse.
In the calendar year 2025, the State will issue bonds with a volume of around eight billion Euro on the capital market.
Tasks
With a debt portfolio currently totalling around 47.3 billion Euro at the end of the fiscal year 2024 (consisting of promissory note loans, state treasury bonds and private placements), one of the State's most important objectives is to refinance, plan and manage interest payments in subsequent years.
In money trading, the daily cash flows in the State's accounts are balanced - either by taking out cash loans or making overnight deposits at selected public-sector banks.